SPOTTY ACTIVITY CONTINUES

07.23.09

By some accounts, activity could appear to be on the rise. The 'truth' will ultimately be in the list of closings that each Town 'experiences', as we had towards Fall. There are not many throughout the NW corner of CT, but any closing is 'an event'!

Not all of the closings are so-called 'arm-length' transactions. Neighbors have purchased adjacent parcels for protection; foreclosed properties, some that is, have been sold by 'their' holding banks at exceptionally low prices; still others are selling to the few buyers that 'spot' opportunities and take advantage of sellers who are just exhausted with holding out for prices that have 'passed by' as a new market is emerging.

Don't get fooled by the recent earnings reports of a couple of investment banking companies, reported on last week. Prevailing wisdom tells me that all is not on the mend in peoples' incomes, which could otherwise give us hope for a real estate recovery.

Some of the pointers in last week's column are showing more relevance than ever, in my opinion. It would appear that we still are in for a LONG wait for any major resurgence, both in activity and prices.

©2009 R. Leech features.